Help
Options
Didn't know it?
click below
click below
Knew it?
click below
click below
Don't Know
Remaining cards (0)
Know
retry
shuffle
restart
0:00
Embed Code - If you would like this activity on your web page, copy the script below and paste it into your web page.
Normal Size Small Size show me how
Normal Size Small Size show me how
Dollars and Cents
Loans and Debt
| Question | Answer |
|---|---|
| Home Loan | Closed-end installment loans for the purchase of a home. |
| Home Equity Loan | A loan using ownership interest in the home. |
| Home Improvement Loan | A loan that helps make needed repairs or improvements to a home. |
| Vehicle Loan | A secured loan for the purchase of a new or used vehicle. |
| Personal Line of Credit | Open-ended, unsecured, can draw upon it when needed to a preset limit. |
| Education or Student Loan | Used to pay for higher education, has lower interest rates and flexible repayment schedules. |
| Consumer Finance Company | Businesses that specialize in making small of personal loans. |
| Insurance Policy Loan | A policy holder borrowers money against the amount that has already be paid in premiums. |
| Down Payment | A portion of the purchase price paid by cash or check at the time of purchase, reducing the amount borrowed. |
| Balloon Payment | A final payment that is much larger than other installments. |
| Acceleration Clause | Gives the seller the right to declare the whole balance due if the buyer misses one installment payment. |
| Add On Clause | Allows additional purchased to be added to a contract, with earlier purchases used as security for later ones. |
| Credit Life Insurance | Is designed to pay off the loan in the even to your death. |
| Right of Rescission | If pledging your home as security for a loan or other credit transactions, have the right to cancel the loan within 3 business days. |
| Default | The failure to fulfill the obligations of the loan. |
| Repossession | Taking away property due to failure to make loan or credit payments. |
| Collection Agency | A business that collects unpaid debt for others. |
| Lein | A claim upon property to satisfy a debt when the home is sold. |
| Garnishment | The legal withholding of a specified sum from a person’s wages in order to collect a debt. |
| Payday Loans | Shrot-term, high interest rate loans |
| Pawn Broker | Allows a consumer to trade an item for cash, have the option to purchase the back at a higher price |
| Loan Shark | An unlicensed individual that operates illegally, provides loans with an excessive interest rate |
| Fair Debt Collection Practices Act | Prevents companies to use abusive practices of debt collection, over charging, and disclosing consumer debt to third parties |
| Chapter 7 | Requires the sale of personal property to satisfy debt |
| Chapter 13 | Sets up a payment plan to pay off some or all of the debt over time |
Created by:
tlahr
Popular Finance sets